Implementing the Business Plan

Once the bylaws have been adopted, the board of directors should meet as soon as possible to avoid having to send out legal notices of it to directors. Directors approve various resolutions designed to make the cooperative an operational business and ready to serve members.

Officers of the cooperative are elected and directors assigned to individual or committee responsibilities to implement the business plan. Members may be assigned to committees, but at least one board member should be on each committee to enhance communications. Target dates are established for important events such as groundbreaking, construction completion, dedication or open house, and full-capacity operations

The board needs to act immediately on some specific items: conduct a membership drive; adopt a form of membership application or stock subscription; adopt the forms for contractual agreement if used; acquire capital; select a bank in which to deposit funds; initiate steps to hire a manager; authorize officers or employees to handle cooperative funds and issue checks; design and install an accounting system; provide for bookkeeping and auditing services; print the articles of incorporation, bylaws, and other member documents for distribution to all members; bond officers and employees in accordance with bylaws; and pick a business location and seek bids for facilities and equipment.

A director training schedule should be established to discuss topics such as legal liability, cooperative finance, management supervision, and member relations. Session topics for the entire membership should include member responsibilities, cooperative operating policies, and tax treatment of patronage refunds.